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INDIA INDIA · 2 MIN READ

SpiceJet and Aviator ML fined ₹15 lakh each by NCLT for wasting time

A special bench of the National Company Law Tribunal (NCLT) imposed a fine of ₹15 lakh each on SpiceJet and aircraft lessor Aviator ML 29641 Ltd for wasting the tribunal's time.

A special bench of the National Company Law Tribunal (NCLT) imposed a fine of ₹15 lakh each on SpiceJet and aircraft lessor Aviator ML 29641 Ltd for wasting the tribunal's time. The fines were levied after both parties informed the NCLT of their settlement on the day the order on insolvency pleas was scheduled to be pronounced, the tribunal said on Wednesday, August 19, 2026, according to livemint.com.

The NCLT deferred its order on the insolvency petitions filed against the debt-laden SpiceJet. The tribunal instructed the regular NCLT bench to take up the matter on Monday. The fines were imposed as the settlement information was conveyed at the last moment, which the tribunal viewed as a waste of judicial time. This development follows SpiceJet's ongoing financial difficulties, including a net loss of ₹1,138.15 crore for the April-December period of FY26, widening from ₹266.8 crore a year earlier, as reported by livemint.com.

The fine highlights the challenges faced by SpiceJet amid its insolvency proceedings and the legal complexities involving its creditors and lessors. Aviator ML, as an aircraft lessor, is directly involved in the financial disputes with SpiceJet. The case underscores the increasing scrutiny by Indian tribunals on procedural delays and the importance of timely communication in insolvency cases. This action by the NCLT adds to the pressure on SpiceJet, which has been navigating significant financial stress in a competitive aviation market.

The regular NCLT bench is scheduled to hear the insolvency matter involving SpiceJet and Aviator ML on Monday. This hearing will be critical in determining the next steps in the insolvency process for SpiceJet, which continues to face mounting losses and operational challenges, according to livemint.com.

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